A Guide to Car-Sharing Apps for New Year’s Eve

New Year’s Eve is one of the busiest times of the year for taxis, with millions of revelers leaving their cars at home for a night out. Ride-hailing apps Uber, Lyft and Sidecar see the holiday as an opportunity to win new customers, and are adding drivers to meet increased demand.

The services let you skip hailing a taxi by summoning a car with the tap of a smartphone and paying with your credit card that’s on file. Most drivers use their own cars, for a cut of the fee.

The rides will be costly, however. All three companies plan to use “surge pricing,” meaning rides will cost three times as much as usual – or more — on Tuesday evening and early Wednesday.

Uber took heat from disgruntled passengers for charging up to seven times the normal rate during a New York snowstorm in December, when some $25 rides cost $175. CEO Travis Kalanick has defended the policy, arguing it’s the best way to ensure supply in a time of high demand.

To get ahead of potential criticism for high prices on New Year’s Eve, the company posted a blog with helpful hints about the best time of night to ride. It recommends before 12:15 a.m., or after 3 a.m.

“If you absolutely need a ride between 1 a.m. and 3 a.m., Uber will be very reliable, but it will be a pricey ride and you’re just going to have to expect that,” Kalanick said in a video interview on the blog.

Surge pricing: Increases with demand, maximum of three times the normal fare

Lyft just added high-demand pricing earlier this month in California and Chicago, so New Year’s Eve will be its first big test of whether passengers will pay up. At Lyft, all of the additional money goes to drivers – unlike Uber, which keeps a 20% cut of its fares.

“We’re trying to strike a balance between rider satisfaction and driver satisfaction,” said co-founder John Zimmer, who plans to drive for Lyft in San Francisco this New Year’s Eve.

Surge pricing: Increases with demand, maximum of three times the normal fare

Last New Year’s Eve was Sidecar’s biggest night on record, with four times as many riders from 1 a.m. to 3 a.m. as on a typical Saturday night. The company does not typically impose surge pricing, but will charge higher rates on New Year’s Eve.

Unlike the other services, Sidecar asks riders to enter their destination and shows them an estimate of what the trip will cost. A ride between San Francisco’s Mission district and the Marina, two nightlife hubs, is typically around $12; on New Year’s Eve that could be as much as $36.

“No one’s surprised when they get the receipt afterwards,” said CEO Sunil Paul.